Charted: Ripple (XRP) Consolidates, Why It Is Approaching Major Breakout
Ripple found is facing a major resistance near $0.5000 against the US Dollar. XRP price must stay above $0.4450 to avoid another downside break in the near term.
- Ripple is facing an uphill task near the $0.4950 and $0.500 resistance levels against the US dollar.
- The price is now consolidating above $0.4500 and testing the 100 simple moving average (4-hours).
- There was a break below a triangle with support near $0.4700 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
- The pair could either rally above $0.5000 or it might dive below $0.4500 to test $0.4000.
Ripple’s XRP Price is Facing Resistance
There was a decent recovery in ripple’s XRP found above the $0.4200 and $0.4500 resistance levels. The price even settled nicely above the $0.4500 level and the 100 simple moving average (4-hours).
However, the price is struggling to clear the $0.4950 and $0.5000 resistance levels, whereas the bitcoin and ethereum climbed higher. The recent high was near $0.4950 before XRP corrected lower. There was a break below the $0.4800 support level.
Source: XRPUSD on TradingView.com
The price traded below the 23.6% Fib retracement level of upward move from the $0.3937 low to $0.4954 high. There was also a break below a triangle with support near $0.4700 on the 4-hours chart of the XRP/USD pair.
The price is now consolidating above $0.4500 and testing the 100 simple moving average (4-hours). The 50% Fib retracement level of upward move from the $0.3937 low to $0.4954 high is also near the $0.4500 support. If there is a downside break below the $0.4500 support zone, there could be a sharp decline. In the stated case, the price may possibly revisit the $0.4000 support.
Fresh Increase in XRP?
If ripple stays above the $0.4500 support, it could start a fresh increase. An initial resistance on the upside is near the $0.4950 level.
The main resistance is still near $0.5000. A clear break above $0.5000 will most likely start a strong increase. The next major resistance is near the $0.5200 level, above which it could surge towards the $0.5500 level.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is struggling to gain pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Major Support Levels – $0.4500, $0.4200 and $0.4000.
Major Resistance Levels – $0.4950, $0.5000 and $0.5500.
OhNoCrypto
via https://www.ohnocrypto.com
Aayush Jindal, @KhareemSudlow